Ali Babacan

The world's leading economies have narrowed down their commitments to boost global growth under a G-20 plan and should be able to demonstrate progress by the end of Turkey's G-20 presidency this year, a senior Turkish official said on June 15.

Turkey's economy grew a larger-than-expected 2.3 percent year-on-year in the first quarter, data showed on June 10, but analysts saw an uncertain outlook after a weekend election that left the country facing the prospect of a coalition government.

All prominent economy figures from each of Turkey's four largest political parties have managed to enter parliament in the June 7 election. 

Many investors backed off from taking new trading positions on June 5 ahead of Turkey's parliamentary election on June 7, seen as one of the most uncertain in the last decade regarding the outcome. 

The Turkish government has seized control of Bank Asya following a 18-month long political battle between President Recep Tayyip Erdogan and exiled Islamic cleric Fethullah Gulen - a move seen as increasing risk premium for Turkish assets a week before parliamentary elections.

Deputy Prime Minister Ali Babacan said on May 30 that Turkish authorities' decision to take over Bank Asya was not ?political.?

?If it was political, why would [the government] wait for one and a half years? All these actions could be taken long time ago if it was a political decision,? Babacan said in an interview to private broadcaster Kanal 7.

Turkey?s largest state-owned bank, Ziraat Bank, has launched its first branch for Islamic finance in Istanbul.

?This is a historic step. Other state-owned banks should follow Ziraat?s move,? President Recep Tayyip Erdo?an said on May 29  during the opening ceremony in the Eminönü neighborhood, referring to Vakifbank and Halk Bank. 

Turkish Deputy Prime Minister Ali Babacan has said there are Turkish banks interested in operations in China, after a Chinese bank acquired a majority share in Turkish Tekstilbank.

"The next phase will be a Turkish bank operating in China," Babacan said, speaking at the celebration of Tekstilbank's sale to Chinese Commercial Bank of China Limited (ICBC) on late May 25.

Three interesting articles appeared in the Turkish media on May 25, written by three journalists who are well-informed on developments within the ruling Justice and Development Party (AK Parti). 

Deputy Prime Minister Ali Babacan said Turkey has now become the only Muslim country with peace and stability, but there are some people inside the country who want to destroy this environment, adding that political stability is the key to maintaining economic stability.